I'm going to go with SunnySoul on this one. I think it concerns idols - not statues and such. Although the term graven image may include a wide range of things, I think the word was probably used colloquially for idols. For example, there were two cherubim on the Ark of the Covenant. But it was not wrong to make them. God ordered that they be made. And then God ordered that a bronze serpent be made. And it was made. I think God was just implying that we shouldn't make any image by which to worship God or false gods. A modern application might be all of those Jesus and Mary statues. Probably shouldn't be making them. Or at least not bowing down to them.
But anyway, in our society, when someone says "graven image" you don't immediately think of a statue or a bust. You think of an idol, because that specific combination of words usually refers to something other than what the words individually mean. So I don't think it means that we shouldn't paint paintings or make sculptures or take photos. I think it means that we shouldn't make idols. Here's the word used for 'graven image' in Hebrew:
Hebrew Lexicon :: H6459 (KJV)